Hong Kong’s workplace is undergoing quiet but significant changes. This week, we look at four key developments shaping the HR landscape — including new legal protections for LGBTQ+ couples, restructuring at a major REIT, challenges in labour importation, and how one company is setting a new benchmark in family-friendly benefits.
1. Over 73% of Hong Kong Employers Are Adopting AI in the Workplace
One-minute summary
A new survey by the Hong Kong Institute of Human Resource Management (HKIHRM) reveals that 73% of employers in Hong Kong have begun using AI in the workplace. While the main goal is productivity enhancement, companies also cite decision-making accuracy and employee experience as key motivators. Despite AI’s growing traction, the report highlights low investment in training—only 9% of respondents say their companies are providing AI education. This suggests a widening gap between implementation and readiness, especially among non-technical roles. HR teams must act fast to close the capability gap and ensure AI enhances—not overwhelms—existing teams.
3 main takeaways
- Widespread adoption, limited training：73% of local companies are using AI, but only 9% offer structured training. There’s a serious gap between tools deployed and skills developed. This could widen digital inequality across roles. HR must build inclusive learning programs that support everyone—not just tech teams.73% of local companies are using AI, but only 9% offer structured training. There’s a serious gap between tools deployed and skills developed.
- AI seen as a productivity booster：Employers cite efficiency, faster decision-making, and enhanced employee experience as top drivers. HR must ensure these tools are deployed ethically and inclusively. This means setting clear AI guidelines and measuring their human impact. Long-term ROI depends on workforce trust.Employers cite efficiency, faster decision-making, and enhanced employee experience as top drivers. HR must ensure these tools are deployed ethically and inclusively.
- Non-technical staff at risk of being left behind：Without proper support, frontline and admin teams may struggle to adapt. Upskilling and change management will be crucial. Training should be tailored to real workflows, not just theory. Peer learning and in-job support can bridge the confidence gap.Without proper support, frontline and admin teams may struggle to adapt. Upskilling and change management will be crucial.
Implications to employees
- New tools = new expectations：Employees will be expected to work with AI tools, even in non-technical roles. Proactiveness in digital learning will help future-proof careers. This may also change team dynamics and introduce new performance pressures. Employees should seek clarity on AI use cases in their roles.
- AI anxiety is real：Without communication and training, AI adoption can lead to fear and resistance. Clear messaging and support are essential. HR must normalise ongoing learning, not just one-off workshops. Psychological safety is key to a successful AI transition.
- Career growth will favour AI fluency：Those who embrace AI early will likely gain a competitive edge. Internal mobility will be increasingly tied to tech comfort. HR and managers should recognise and reward upskilling initiatives. AI fluency could soon be part of promotion criteria.Those who embrace AI early will likely gain a competitive edge. Internal mobility will be increasingly tied to tech comfort.
Implications to HR
- Urgent need for AI training programs：HR must partner with IT and L&D to deliver accessible, job-relevant AI education. Quick wins include internal tutorials, AI literacy sessions, and certifications. Training must be tailored by job function and available on-demand. Tracking learning progress will help identify future talent leaders.
- Rethink job design and performance metrics：AI reshapes how work gets done. HR must revise KPIs, job scopes, and workflow design accordingly. Consider redefining job families based on tech reliance. Also prepare for cross-functional collaboration to increase.
- Embed ethics and inclusion into AI rollout：Avoid bias and burnout. HR must co-lead governance on how AI tools are deployed, monitored, and adjusted. Ethics checklists and employee feedback loops should be standard. Inclusion must be baked into AI procurement decisions.Avoid bias and burnout. HR must co-lead governance on how AI tools are deployed, monitored, and adjusted.
Source: The Standard
2. Link REIT (Asset Management) Lays Off Over 50 Employees Amid Operational Efficiency Push
One-minute summary
Hong Kong real estate giant Link Asset Management has reportedly laid off around 50 to 60 employees, roughly 5% of its local headcount. The company confirmed to media that it is “streamlining a small number of roles” in response to a challenging operating environment. This move forms part of a broader cost-efficiency drive, targeting controllable expenses including staffing, operations, and remuneration. While Link did not confirm exact figures, the announcement comes on the heels of its full-year results, which hinted at increased pressure to protect investor returns while preserving service standards. The layoffs signal caution—and cost sensitivity—across corporate Hong Kong.
3 main takeaways
- ~5% of local workforce affected：Link has reportedly cut 50–60 positions in Hong Kong, aiming to reduce operational overhead without undermining performance. This aligns with a city-wide trend of quiet downsizing in asset-heavy industries. HR teams should track this as part of a broader recalibration in white-collar sectors.
- Efficiency over expansion：The cuts are part of Link’s broader strategy to streamline “controllable costs” across property, people, and pay. Companies are shifting from growth-mode to resilience-mode. Expect more “quiet restructuring” in listed companies with investor accountability.
- Pressure to deliver investor returns：Link emphasized “disciplined” cost controls to protect unit-holder value while maintaining service. This reveals the balancing act HR leaders must perform under board scrutiny. Productivity, not headcount, is becoming the new metric of performance.
Implications to employees
- White-collar roles no longer feel untouchable：Even stable industries like REITs are trimming staff—creating unease in finance, admin, and ops roles. Employees may feel increased pressure to show impact, not just output. Internal career mobility and transparency will matter more than ever.
- New caution around mid-level positions：Middle management layers are increasingly seen as optimizable. Employees must stay agile, upskill continuously, and align closely with core business priorities. Adaptability will be key to long-term retention.
- A more risk-aware mindset takes hold：Employees may prioritise job security and organisational stability over title or scope. Employers need to clarify their people strategy to rebuild trust and visibility. In uncertain times, clarity = retention.
Implications to HR
- Internal messaging must balance reassurance with transparency：Even if layoffs are limited, anxiety can spread quickly. HR must proactively explain business rationale and show care for those affected. Consistent, human communication is a strategic imperative.
- Rethink how you measure productivity：Headcount alone is no longer the lever—outcomes, efficiency, and ROI matter more. HR must help redefine performance metrics that align with new business realities. Partner with finance to build people + cost dashboards.
- Prepare for restructuring support and career transitions：Workforce planning should now include redeployment options, skill audits, and transition programs. HR needs to strengthen internal mobility pathways and offboarding protocols. Support today builds employer brand tomorrow.
Source: Human Resources Online
3. Hong Kong Introduces Same-Sex Partnership Bill with New Legal Protections
One-minute summary
Hong Kong’s government has officially introduced a bill to recognize overseas same-sex civil partnerships, alongside new penalties for tampering with official records. This legislation follows a landmark Court of Final Appeal ruling and aims to offer spousal rights such as hospital visitation and inheritance. While the bill stops short of legalising same-sex marriage, it reflects growing pressure to align with global equality standards. HR teams should begin preparing now—this policy shift will impact benefits eligibility, family leave structures, and internal DEI commitments.
3 main takeaways
- Same-sex partnerships to gain legal status：The bill grants recognition to registered partnerships abroad, granting rights like next-of-kin access. This move will influence how family benefits are defined and applied across sectors. Hong Kong is joining a global shift toward inclusive employment policies. It also sets a precedent for expanding protections within local employment law.
- Tampering penalties raise accountability：The bill introduces fines and imprisonment for forging partnership records. Employers must tighten documentation standards for benefit claims. HR systems will need to be reviewed for compliance and data integrity. Errors or omissions could result in reputational or legal risks.
- A DEI turning point for the workplace：This is a significant step toward institutional inclusion. Companies that delay policy updates risk losing LGBTQ+ talent. Proactive alignment with the law will strengthen employer reputation and trust. It also creates a competitive edge for talent acquisition.This is a significant step toward institutional inclusion. Companies that delay policy updates risk losing LGBTQ+ talent. Proactive alignment with the law will strengthen employer reputation and trust.
Implications to employees
- LGBTQ+ employees gain visibility and rights：Recognition brings access to benefits like spousal leave, insurance, and relocation. This can also encourage a more open and trusting workplace culture. Representation matters—and this sends a strong signal. It can also empower more employees to take advantage of available benefits without hesitation.
- New legal clarity supports safer disclosure：Employees may feel more confident sharing personal information to access benefits. Employers must ensure confidentiality and sensitivity in these processes. Systems must be updated without forcing disclosure. Internal policies must also reinforce non-discrimination protections.
- Policy visibility matters：Even if benefits are technically available, unclear communication leads to underuse. Employees need proactive education and trust in HR systems. Language in HR materials must reflect this legal change. Peer testimonials can help bridge awareness gaps.Even if benefits are technically available, unclear communication leads to underuse. Employees need proactive education and trust in HR systems. Language in HR materials must reflect this legal change.
Implications to HR
- Update benefits documentation and eligibility：Review and revise policies on spousal medical, bereavement, and family leave. Make sure third-party vendors reflect these changes too. Build clear internal FAQ resources. Update onboarding materials and ensure managers are trained on inclusive benefit provisions.
- Signal inclusion through policy, not just statements：Move from performative to structural DEI by embedding protections in onboarding, handbooks, and leave policies. Highlight these changes in recruitment branding. Inclusion should be tangible at every stage of the employee lifecycle.
- Monitor evolving legal guidance and employee sentiment：This bill is likely the first of many. HR should partner with legal to stay compliant and credible. Regular staff pulse checks will help HR assess inclusion progress. Ongoing dialogue helps identify gaps before they become risks.This bill is likely the first of many. HR should partner with legal to stay compliant and credible. Regular staff pulse checks will help HR assess inclusion progress.
Source: SCMP
4. Hong Kong Labour Chief Defends Foreign Worker Scheme Amid Declining Local Workforce
One-minute summary
In a recent radio interview, Secretary for Labour and Welfare Chris Sun reaffirmed the importance of the Supplementary Labour Scheme despite ongoing controversy. Though over 100 complaints have been filed—some involving alleged displacement of local workers—Sun argued the program is vital due to a declining and ageing labour force. The unemployment rate has climbed to 3.5%, and Sun pointed to long-term demographic shifts as justification for labour importation. The scheme will be reviewed in September, but HR leaders should prepare for ongoing talent shortages and stricter scrutiny of hiring practices.
3 main takeaways
- Complaints filed against foreign labour abuse：At least three cases involve local staff being replaced by imported workers. Industries like F&B and cleaning are under review. Employers must show clear local hiring efforts. The government has indicated it will enforce consequences where abuse is found.
- Labour force decline is structural：Since peaking in 2018, Hong Kong’s workforce has steadily shrunk. Ageing demographics will continue to drive this trend. Labour importation is positioned as a long-term policy. Employers will need new strategies for workforce renewal.
- Scheme under review, not removal：Despite criticism, the government signals continuity. Employers should expect sector-specific adjustments, not cancellation. HR must balance social responsibility with workforce gaps. Being proactive now will minimise future hiring disruption.Despite criticism, the government signals continuity. Employers should expect sector-specific adjustments, not cancellation. HR must balance social responsibility with workforce gaps.
Implications to employees
- Unease about job security may rise：News of worker replacement sparks distrust among local employees. Transparent HR practices and fair hiring documentation are key. Staff may call for clearer internal grievance channels. Employees may also seek stronger protections in contracts or unions.
- Demographic decline could reshape opportunities：Fewer young entrants mean faster promotion cycles—but also heavier workloads. Employees should upskill to stay relevant amid job reshuffling. Lifelong learning will become more urgent. Talent gaps could accelerate career mobility.
- Increased attention to employer ethics：Public scrutiny may influence how workers perceive leadership credibility. Companies that explain hiring decisions openly will earn more loyalty. Reputation risk is now an employee concern. Transparency in decisions is critical to build trust and retention.Public scrutiny may influence how workers perceive leadership credibility. Companies that explain hiring decisions openly will earn more loyalty. Reputation risk is now an employee concern.
Implications to HR
- Audit hiring processes for fairness and proof：Maintain clear records of local recruitment before applying for imported labour. Prepare for more documentation requests. Set up third-party reviews if needed. Proactive audits help HR stay ahead of regulatory or media scrutiny.
- Scenario plan for talent shortages：Create multi-tier plans that mix local hiring, automation, and targeted overseas sourcing. Partner with education providers to future-proof entry-level pipelines. Cross-train internal staff to absorb role transitions. Flexibility is key to navigating long-term shortages.
- Use data to defend workforce plans：Track labour needs vs. availability to justify decisions. Communicate strategy internally to build buy-in and confidence. Data-driven transparency will be HR’s best defence. It also helps align workforce planning with business forecasting.Track labour needs vs. availability to justify decisions. Communicate strategy internally to build buy-in and confidence. Data-driven transparency will be HR’s best defence.
Source: TVB News
5. Vanguard Taiwan Rolls Out Best-in-Class Family Care Policies
One-minute summary
Taiwan-based chipmaker Vanguard International Semiconductor Corporation has announced a sweeping set of family care benefits. Under its new “Family Care Enhancement Plan,” the company will offer extended parental leave, childcare stipends, and eldercare flexibility, among other perks. This follows the launch of an internal Women’s ERG and a growing focus on workplace inclusivity. With ageing populations and declining birth rates across Asia, Vanguard’s initiative may set a new benchmark. HR teams across the region should take note.
3 main takeaways
- Parental leave extended to 14 weeks：Maternity leave now exceeds statutory minimums, signalling long-term investment in caregivers. Includes paid prenatal leave and newborn welcome gifts. This supports retention during key life stages. It may also influence other companies in Taiwan and beyond to follow suit.
- Childcare and eldercare fully addressed：Monthly leave for parents of toddlers, and flexible family care days up to 14 per year. A rare policy that balances multigenerational caregiving. Shows attention to real-world needs. This model reflects how modern families actually function.
- Wellness and inclusion are integrated：Initiatives include DEI learning sessions, mental health support, and gender-inclusive language. Family-friendly culture is becoming strategic. Internal role models amplify impact. Culture is no longer separate from business performance.Initiatives include DEI learning sessions, mental health support, and gender-inclusive language. Family-friendly culture is becoming strategic. Internal role models amplify impact.
Implications to employees
- Stronger support during life transitions：Employees now receive more flexibility and empathy during caregiving years. This can reduce burnout and increase loyalty. Staff are more likely to stay and recommend the company. These policies may also encourage new talent who prioritise family support.
- Cultural shift around caregiving roles：Policies elevate caregiving from “personal problem” to shared responsibility. Employees of all genders can access these benefits. A more inclusive view of family is taking root. It helps create a culture of shared empathy across roles.
- Employees feel seen beyond their job title：Acknowledging real-life roles builds trust and psychological safety. This empowers employees to bring their full selves to work. Inclusion becomes a lived experience. It deepens engagement and fosters belonging.Acknowledging real-life roles builds trust and psychological safety. This empowers employees to bring their full selves to work. Inclusion becomes a lived experience.
Implications to HR
- Position benefits as a strategic advantage：Use policies in talent marketing and employer branding. Highlight them during onboarding and executive messaging. Showcase stories, not just bullet points. Use testimonials and case studies to connect policy to lived experience.
- Embed flexibility across the org—not just HR：Train managers to support and model usage of leave and care options. Align policies with performance expectations. Normalize care without penalty. Empower leaders to be role models in flexibility culture.
- Monitor usage and evolve benefits over time：Collect data on uptake and employee feedback. Refine offerings annually to reflect changing needs. Sustainability comes from responsiveness. Build feedback loops into annual benefits reviews.Collect data on uptake and employee feedback. Refine offerings annually to reflect changing needs. Sustainability comes from responsiveness.
Source: UDN
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